Mpumalanga Business 2017 edition

OVERVIEW
Mining
The latest technology is improving platinum yields in Mpumalanga.
Coal, platinum, gold and nickel are the province’s major mineral
resources and all of these minerals are still in demand,
even if coal and platinum have experienced roller-coaster
price fluctuations in recent months.
South Africa no longer enjoys world dominance in gold production
– both China and the US produce more ounces – but it does produce
75% of the world’s platinum, 80% of its manganese, 73% of its chrome
and 45% of its vanadium. Mpumalanga has significant resources of
each of these minerals, and several others.
The Witbank coal fields are the most productive in Africa and the
province lies at the southern end of the eastern limb of the Bushveld
Igneous Complex. Chromite, magnetite and vanadium are found in
significant quantities in the province. The ferro-alloy industry is centred
on the town of Middelburg.
Deposits of chromite, magnetite and vanadium in this area are the
basis of the ferro-alloy complex in Witbank-Middelburg (in the District
Municipality of Nkangala) and Lydenburg (Mashishing). Nkomati Mine
is South Africa’s only pure-nickel operation. The province’s coalfields
are in the south and west of the province.
Mining contributes 21.8% to provincial Gross Domestic Product
(GDP) and the relative contribution of the province’s sector to mining
in South Africa has risen in recent years, from 18% in 1995 to 21%.
SECTOR INSIGHT
A Mining and Metals
Technology Park is to be developed
in the Steve Tshwete
Local Municipality.
• Exxaro is developing a new
coal mine at Belfast.
• Anglo American aims to
sell all its coal businesses.
• Northam Platinum has
purchased the Everest
mine from Aquarius
Platinum.
A slump in world commodity
prices has meant a decline
in activity in most mining sectors,
which in turn has led to a
number of retrenchments. The
provincial government believes
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